French dairy giant Danone may not be the first brand one associates with the plant-based food space, but since their acquisition of organic producer Whitewave in 2017, they have been making steps toward meeting market demand that is pushing for more plant-based options. In a recent investor seminar, Danone pledged to TRIPLE its global plant-based sales from $1.9 billion to $5.7 billion by 2025!
The company will focus on expanding its core plant-based beverages and yogurt categories, areas which have both seen market growth. Emmanuel Faber, Danone Chairman and CEO, stated: “We are developing our unique portfolio of health-focused and purpose-led Manifesto brands, acting as a catalyst for consumer reach. Our growth strategy focuses on valorized innovations to address some of the fastest-growing trends, notably among the younger generations. We continue to make our organizational model more efficient by empowering our people and fostering engagement.”
He added: “Our strategic priorities remain to accelerate growth, maximize efficiencies and allocate capital with discipline. Our progress to date gives us every confidence in our ability to navigate increasing global volatility and deliver superior sustainable, profitable growth, to create and share value.”
Faber is correct to note that younger generations are leaders in the consumer space, and they are helping shape a plant-based market with their demand. A study revealed that nearly HALF of millennials regularly ditch meat for environmental concerns, and it’s been shown Generation Z favors plant-based foods as well. In general, global demand for plant-based foods has risen 140 percent with no signs of stopping, a trend that has the potential to be of great financial benefit for an international corporation like Danone.
Although Danone will continue to sell dairy, this dedication to triple plant-based sales is a huge step in the right direction. Meat giant Tyson has also shifted a focus to the plant-based space and made investments in meat alternatives, showing the power large corporations have on shaping the food system. Of course, these companies have shifted their focus because consumer demand has changed for the better, which is a promising sign for the survival of our planet.
To learn about how ditching dairy and other animal products has the power to heal the world, be sure to check out the Eat for the Planet book!
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